Business Law B-Personal Law

1. Business LawB-Personal Law 5.01 Understand the legal aspects of domestic relation law and future planning. BB30 Business Law 5.01 Summer 2013

2. Domestic Relations Law • Marriage Contracts- Marriage is not just a personal thing, it is also a type of contract of which there is an offer and an acceptance. Consideration happens when each person promises to give up their right to remain single. The contract is fulfilled when the actual wedding occurs. The legality of the woman keeping the engagement ring or it being returned to the man hinge on what state you are in. • Prenuptial Agreements-an agreement is a written and signed legal contract couples make before getting married dealing with property and support issues. This agreement has the assets of each person, the rights each person that are part of the agreement have in relation to property and predisposed list of how the property of each part is to be distributed if the couple separates, divorce or death. • Marriage Rights and Obligations- Marriage gives a couple new rights that are not afforded a couple that is only living together. Some of these rights that getting married give a couple are: • support by your spouse when necessary • inheritance from your deceased spouse • property if the marriage ends • compensation to continue your present standard of living • file a joint income tax return BB30 Business Law 5.01 Summer 2013

3. Domestic Relations Law • Types of Marriages • Common Law Marriage-What is a “common-law marriage”? Is an informal type of marriage created by the parties themselves. There are (11) states plus the District of Columbia that recognize common-law marriages. However any common-law marriage that was originated in a state that does recognize such marriages has to be recognized in every state based on the U. S. Constitution’s Full Faith and Credit clause. These common-law couples must agree that they are husband and wife. • Ceremonial Marriage-during the early colonial times, only formal ceremonial type marriages that were performed by a religious cleric or a legal magistrate were recognized. However today couples must declare that they are married in front of any person that is legally licensed or authorized to perform marriages. BB30 Business Law 5.01 Summer 2013

4. Domestic Relations Law • Types of Marriages • Proxy Marriage - The Uniform Marriage and Divorce Act allows for a proxy marriage which is when one or both people involved in the marriage cannot be present, such as but not limited to military members. In this case another person acting as an agent for the person not present, acts on the missing parties behalf by standing in for the marriage. Today many or also completed using the web and online cameras so the couple can actually see each other. • Covenant Marriage - Presently,covenant marriage is required in Arkansas, Arizona and Louisana for the purpose of attempting to reduce the number of divorces as well as protecting children. Couples wanting to get married must complete counseling before getting married and after getting married in order to resolve conflicts. • Marriages Performed Internationally - U. S. citizens that are legally married in a foreign country will normally have their marriage recognized in the U. S. as long as the marriage was legal in the country they were married in.

5. Domestic Relations Law • Illegal or Prohibited Marriages • Bigamy is an illegal act that involves a person has two spouses at the same time. • Polygamy is an illegal act of having more than two spouses at the same time. • Any marriage that occurs in any state while one person is already married to another person in another state is void. Any children born of any such marriage are also considered to be illegitimate. Some states allow for a marriage to become legal IF the spouse in the other marriage either dies or divorces the person that committed bigamy or polygamy. • Consanguinity and Affinity - Consanguinity means that your are related by blood. Affinity means you are related by marriage. Many states do not allow for first cousins in a family to marry. About half of the states allow for marriages that the people involved are related by affinity.

6. Legal Requirements for Marriage • Age-varies by state- The legal age to get married in almost every state is 18. • N.C. Legal Age: • Minimum Legal Age With Parental Consent Male: 16; Female: 16 • Minimum Legal Age Without Parental Consent Male: 18; Female: 18 • Minors 14-15 may obtain license with court order in case of pregnancy or birth of child • Marriage License - It is a certificate that is issued by either a city, county or state government that gives a couple permission to marry. If a state has any waiting period, the license becomes effective after that period of time. There is normally a time period that the marriage license is good for and it will become expired after that period. • Waiting Period-most states require a period of time before the actual marriage license is issued. The main reasons are to allow for any cases of fraud, force or duress or any other untruthful act to be uncovered. It also gives any parents that object to the marriage to voice that objection. • Blood Test and Physical Exam-some states require blood tests in order to screen for infectious diseases such as AIDS, sexually transmitted diseases, sickle cell anemia, Rubella and infectious tuberculosis.

7. Legal Requirements for Marriage • Legal Ways to End a Marriage • Annulment - Legal procedure that held before a probate judge. The person seeking the annulment must prove certain legal reasons for the annulment. While the actual reason for an annulment to be granted by a judge vary based on each state, two reasons are standard. These reasons are fraud and duress. Fraud can be anything from not being of age, not intending to have children and the other spouse not having any knowledge, and concealing a pregnancy by someone other than the present male spouse. • Legal Separation - It is a court judgment that ends the right to cohabitate or live together. This can also temporarily decide child custody issues and monetary support. The couple will remain legally married until there is a divorce. BB30 Business Law 5.01 Summer 2013

8. Legal Requirements for Marriage • Legal Ways to End a Marriage • Divorce- • Adultery - When one spouse has sexual relations with someone outside of the marriage. This can be a crime in some states depending on laws. • Cruelty - can be either physical or mental cruelty or both in some cases. This may need to be more than one occurrence in order to use as a reason for divorce. • Desertion is when one spouse separates from the other for unjustified reasons. The length of the separation is usually at least one year. • Alcohol or drug addiction can be used as a reason for divorce but must be confirmed, constant, voluntary and excessive by the offending spouse. • No Fault Divorce - Most states now have some type or version of a no fault divorce. This means a divorce is granted without either spouse having to prove anything about the other spouse in order to get a divorce

9. Legal Ways to End a Marriage • Family Legal Issues with a Divorce • Alimony - Alimony is an allowance for support that is paid by the former spouse in the case of a divorce. The spouse that receives alimony depends on several factors. In at fault divorce, the spouse that is at fault will not receive any alimony. Other factors such as a persons age, income and finances are considered. Their obligations and amount of dependents are also taken into account. Lastly each spouse’s future earning capacity are also taken into consideration. • Child Custody • Legal custody deals with a parent’s right to make major decisions about the children’s health, education and welfare. • Physical Custody deals with which parent the children live with. Parents that have sole custody have more rights involving children than the other parent. Joint custody gives both parents equal rights in most cases.

10. Legal Ways to End a Marriage (continued) • Family Legal Issues with a Divorce • Child Support - total support for a child or children by both parents. The finances of each parent are considered but each must contribute something in the way of money. Support must cover a child’s basic needs. Children are entitled to support from both parents even if the parents were not married at the time of the child’s birth. • Support Enforcement - child support is enforced through the courts. A state can enforce the child support to include having a parent’s paycheck garnished for any child support due and any that has not been paid. In addition any state or federal tax returns for a person responsible for paying child support can be garnished or seized as well as a lien being placed on any real property a person owns if necessary. • Marital property - state law determines how marital property is distributed. If Non-communityproperty state, then the assets and any earnings gained during the marriage are divided based upon individual contribution Communityproperty states, each spouse gets an equal portion of the assets that were acquired during the marriage. It does not matter which spouse earned more or which spouse owned or bought the property.